Balson v. Ohio State University

677 N.E.2d 1216, 112 Ohio App. 3d 33
CourtOhio Court of Appeals
DecidedJune 25, 1996
DocketNos. 95API10-1344, 95API10-1345.
StatusPublished
Cited by12 cases

This text of 677 N.E.2d 1216 (Balson v. Ohio State University) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Balson v. Ohio State University, 677 N.E.2d 1216, 112 Ohio App. 3d 33 (Ohio Ct. App. 1996).

Opinion

Deshler, Judge.

Defendants, Dr. P. David Myerowitz and Dr. Patrick Ross, both appeal from a judgment of the Ohio Court of Claims, finding that defendants were not entitled to immunity for alleged acts of negligence arising out of medical treatment received by Carole Klingel at Ohio State University Hospital.

*36 On December 1, 1993, Carole Klingel underwent open heart surgery at the Ohio State University (“OSU”). Klingel suffered from aortic stenosis, a condition causing the narrowing of a valve in her heart. Ross, an assistant professor in the Department of Surgery, Division of Thoracic and Cardiovascular Surgery at OSU and a member of the Department of Surgery Corporation, P.C. (“DSC”), was Klingel’s attending surgeon. The surgery involved the replacement of Klingel’s native aortic valve with a prosthetic valve.

Following the surgery, Klingel and her husband, Franklin Klingel, filed a complaint and an amended complaint in the Franklin County Court of Common Pleas, naming as defendants Ross, Myerowitz and DSC. The complaint alleged that Ross was negligent in his performance of the aortic valve replacement and in his postoperative care of Carole Klingel. The complaint further alleged that Myerowitz, the Division Chief of Thoracic Surgery at OSU, as well as a member of the Board of Directors of DSC, was negligent in failing to maintain the quality of care in his division at OSU and was further negligent in adopting policies which increased the risk of injury to patients referred within the university system to defendant Ross. On January 6,1995, Carole and Franklin Klingel filed a complaint in the Ohio Court of Claims against defendant OSU, alleging in part that OSU was vicariously liable for the conduct of DSC, Myerowitz and Ross for their acts of negligence. 1

On February 3, 1995, Ross filed a motion in the Court of Claims, seeking leave to intervene as a defendant for the limited purpose of participating in an immunity determination scheduled to be held pursuant to R.C. 2743.02. Myerowitz and DSC filed a similar motion on that date. The Court of Claims sustained the motions of Ross and Myerowitz, holding that the physicians would be permitted to participate as parties for the sole purpose of the R.C. 2743.02 hearing.

An immunity hearing was conducted by the Court of Claims beginning on April 26, 1995. The Court of Claims issued a decision on June 22, 1995, holding that neither Ross nor Myerowitz were entitled to immunity, based upon the court's determination that their actions were outside the scope of their employment with OSU. See 72 Ohio Misc.2d 25, 655 N.E.2d 457.

Following the immunity hearing, the Court of Claims issued findings of fact in support of its decision. The court’s findings of fact are summarized as follows: DSC is an Ohio corporation owned by shareholders consisting of faculty members of the OSU Hospital licensed to practice medicine. Neither OSU nor the OSU *37 Hospital is a shareholder in the corporation. DSC was formed under a closed corporation agreement executed on January 22, 1986, as a direct result of the OSU College of Medicine Practice Plan reorganizing the Central Practice Group within the university. The purpose of the Central Practice Group is the administration of patient care practice conducted by its members, including the collection of fees, payment of staff surgeons, the distribution of practice income and contributions to the university’s Academic Enrichment Program and teaching and research funds.

The OSU College of Medicine Practice Plan assigns income-producing activity to the Central Practice Group within the university system. DSC provides professional liability insurance for malpractice claims for each of its shareholders.

The Division of Thoracic and Cardiothoracic Surgery, like other surgical divisions of OSU, is part of the corporation and operates from an approved annual budget that outlines projected income and expenses. The Division of Thoracic and Cardiothoracic Surgery must meet its annual budget requirements or face a reduction in compensation and benefits for shareholders within its division. The minutes of the corporation reflect that each division must operate at a profit, the addition or elimination of staff is predicated primarily on profit and loss outcomes, and a significant component of corporate activity involves monitoring the flow of patients, patient billing, developing access to new patients and negotiating with insurance companies in the general pursuit to capture elective surgeries.

DSC is not an employee of the OSU Hospital, nor does it operate on a personal services contract. Ross and Myerowitz are shareholders of the corporation. Myerowitz, at all times pertinent, served on the board of DSC and chaired the fiscal committee. The corporation’s contribution to the Teaching and Research Fund and the Academic Enrichment Program is calculated by the amount of the total annual practice income. The corporation’s contribution to teaching, research and academic programs is a cost of doing business dependent upon the income earned through patient billings.

On December 1, 1993, Ross performed open heart surgery on Carole Klingel. Ross treated Klingel through the practice plan corporation. The fee for that service was billed by DSC to the patient’s insurance carrier, and the fee was paid directly by the patient’s carrier to DSC. The services of a resident were included in the billings invoiced by DSC to the patient. Ross received a salary for the delivery of surgical services from DSC, which included the type of surgery performed on Klingel. Ross has separate malpractice liability coverage provided by DSC.

The Court of Claims also made the following specific findings of fact regarding Myerowitz: From the period of 1985 to the present, Myerowitz has allegedly *38 attempted to control the referral of all heart patients within the university-system, whether emergency or elective cases, by threatening to withhold availability of surgical backup for physicians who referred heart patients elsewhere. Myerowitz’s alleged attempts to control the referral of elective heart surgery cases “is directly related to the fiscal interest of the Corporation, and not related to teaching or research.”

Notices of appeal were filed by defendants Ross, Myerowitz and DSC. On appeal, defendant Ross asserts the following five assignments of error for review:

“I. The court below erred in holding that Dr. Ross acted outside the scope of his employment with the Ohio State University when he was performing surgery, because patient care was one of the three missions that the university required its physician/faculty to accomplish and Dr. Ross performed that required task.
“II. The court below erred when it failed to properly apply R.C. § 9.86 to the undisputed facts adduced at the R.C. § 2743.02(F) immunity hearing and held that Dr. Ross was acting outside the scope of his employment with the Ohio State University.
“HI. The decision of the trial court is against the manifest weight of the evidence and the court below erred in holding that Dr.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Ries v. Ohio State University Medical Center
2013 Ohio 4545 (Ohio Supreme Court, 2013)
Dube v. Desai
186 P.3d 587 (Court of Appeals of Arizona, 2008)
Manu Dube v. Chandra S. Desai and Patricia Desai
Court of Appeals of Arizona, 2008
Johnson v. Univ. of Cincinnati, Unpublished Decision (5-5-2005)
2005 Ohio 2203 (Ohio Court of Appeals, 2005)
Theobald v. University of Cincinnati
827 N.E.2d 365 (Ohio Court of Appeals, 2005)
Johns v. Horton
776 N.E.2d 1146 (Ohio Court of Appeals, 2002)
Norman v. Ohio State University Hospitals
686 N.E.2d 1146 (Ohio Court of Appeals, 1996)

Cite This Page — Counsel Stack

Bluebook (online)
677 N.E.2d 1216, 112 Ohio App. 3d 33, Counsel Stack Legal Research, https://law.counselstack.com/opinion/balson-v-ohio-state-university-ohioctapp-1996.